Whisk together 1/4 cup lime juice, 2 tablespoons olive oil, 2 teaspoons chili powder, 1 teaspoon garlic powder, and 1/2 teaspoon paprika in a medium mixing bowl until combined.
Add 1 pound bone-in, skin-on chicken thighs to the bowl and toss until evenly coated with the marinade.
Optional: cover and refrigerate the coated chicken for 30 minutes for more flavor, or proceed immediately.
Lightly spray the air fryer basket with oil. Arrange the chicken thighs skin side up in a single layer without overcrowding; work in batches if needed.
Air fry at 375°F (190°C) for about 14 minutes, turning or rotating the basket halfway through to promote even crisping.
Check doneness with an instant-read thermometer; the internal temperature should reach 165°F (74°C). If not, continue cooking a few minutes more and recheck.
Let the chicken rest a few minutes, then serve hot with rice, beans, or a salad and a lime wedge if desired.